Asset Reconstruction Company (India) Ltd., widely known as Arcil, is set to open its initial public offering (IPO) for subscription on September 9, 2026. This public issue marks a significant event for India's financial sector, with the company offering shares in a price band of Rs 132 to Rs 139 per equity share.
Key Details of the Arcil IPO
The IPO, which closes on September 11, is entirely an offer-for-sale (OFS) of 5.27 crore equity shares. This means Arcil itself will not receive any proceeds from the issue; instead, the funds will go to the selling shareholders. At the upper end of the price band, the total issue size is valued at approximately Rs 733 crore.
Anchor investors will have an opportunity to subscribe a day earlier, on September 8. Retail investors can bid for a minimum of one lot comprising 107 equity shares, requiring a minimum investment of Rs 14,873 at the upper price band.
Shareholder Participation and Allotment Structure
The offer has reserved 50 percent for qualified institutional buyers (QIBs), 35 percent for retail investors, and the remaining 15 percent for non-institutional investors (NIIs).
Prominent selling shareholders in the OFS include Avenue India Resurgence, an entity backed by New York-headquartered Avenue Capital Group, and State Bank of India. Other investors participating in the sale are Lathe Investment and Federal Bank. Avenue India Resurgence holds a 69.73 percent stake in Arcil, while State Bank of India owns 19.95 percent.
Arcil's Role and Financial Performance
Established in August 2003, Arcil was the first asset reconstruction company to be incorporated in India, receiving its registration certificate from the Reserve Bank of India (RBI). The company specializes in acquiring stressed assets from banks and financial institutions, then implementing strategic resolution plans to maximize recoveries and optimize asset value.
As of FY25, Arcil positioned itself as the second-largest ARC in India by assets under management (AUM), managing an impressive Rs 16,852.6 crore. For the financial year ended March 2026, Arcil reported a profit of Rs 351.7 crore, marking a 6.7 percent increase from the previous year's Rs 329.5 crore. Revenue for the same period climbed 24 percent to Rs 721.7 crore, up from Rs 581.8 crore.
Timeline for Allotment and Listing
The share allotment for the Arcil IPO is expected to be finalized by September 15. Following this, the equity shares are provisionally scheduled to list on the stock exchanges on September 17. IIFL Capital Services, IDBI Capital Markets & Securities, and JM Financial are serving as the merchant bankers for the issue.